The Vending Coach

Gumball Spiral Vending Machines – Favorites for Kids!

2011-07-12T22:36:00.001-05:00

Gumball Spiral vending machines

Gumball Spiral machines are the large globed vending machines which are real favorites with kids. These special gumball machines usually cost a quarter and vends the gumball in a “spiral” fashion (the gumball spiraling down the tract to the gumball chute door).

These gumball spirals come in a variety of colors and a few varying designs on the actual machines. Many are made now in China with a few still made in the United States and Canada. They basically consist of:

The large globe holding 1000-2000 gumballs depend in globe size

The machine lid and lock for the product section

The gumball spiral stand

The middle machine section consisting of the coin mechanism and attached gumball tract

The base of the machine containing the end of the chute and chute cover

I have heard mixed results for these types of machines from vendors. They are harder to place than small

gumball machines because of their size. Also, it is hard to find a location where there is a high enough volume to support the size. They can also be difficult to transport between locations (don’t do it full of gumballs!) It is also very hard to clean the tract where the gumballs fall through. They can also be prone to scratches in the plexi-glass which is not always easy or cheap to fix.

The biggest mistake I have seen vending machine operators make with gumball spirals is to overfill the machines. It looks great full, but it can take a long long time to sell 1500 gumballs or more. The gumballs can go stale in as little as 6 months especially if they are exposed to direct sunlight, hot and cold conditions, or even very strong florescent lighting.

Believe it or not, I have seen bugs, spiders, and other dirty things inside the globes. Gross! It is a real chore to fix this when you have to haul it home and sanitize the parts (which should be done.) The other thing that has turned me off to this machine is to see flaked pieces of gumballs all down the tract where the gumballs run and in the bottom of the globe.

Don’t get me wrong. You can make a lot of money with a spiral gumball vending machine and not have to check it very often. This is the appeal. But you must have the right kind of high volume account.

Typical Gumball spirals cost around $500-600 new and used for as little as $100 to $200. If you can find ones with Beaver coin mechanisms, these will be the best.

Hope this helps you if you are considering this big mamma of a vending machine.

Chiclets - Chiclet Gum - Tab Gum: How to use in Your Bulk Vending Machine

2011-07-12T22:24:00.002-05:00

Chicklets Gum for Profitable Vending

Chiclets Gum has been around for many years and is a favorite with bulk vending machine operators. It is very easy to vend in all types of machines because of its consistent size. It has better shelf life (will not go stale as fast) than regular gumballs.

Chiclets are often called “tab gum” because the square shapes of the gum look like “tabs”. In my experience, it works better in places where a lot of men work like repair shops and parts supply stores. It might be because the gum is hotter than regular assorted 1” gumballs

which most bulk vendors sell.

This type of gum can last up to a year in the field if the temperature extremes are not too much. High temperatures will especially cause the gum (and all product types) to go stale more quickly. For this reason, trying place it out of direct sunlight and preferably in a temperature controlled location. Chickle gum is also more tolerant to heat than regular gumballs if you have no choice but to place in a higher temperature location.

Where can you buy this tab gum? Sam’s Club is the most popular place with bulk vendors. Costco and BJs clubs also carry the product. Alternatively, you can mail order the product as well but be prepared for high shipping costs.

How much does it cost to vend Chiclets gum? Somewhere around 5 cents per vend if you do not have shipping costs in the price. If so, I would estimate around 6.5 to 7 cents.

How much should I vend? In my opinion, not very much. The prices quoted above were for about 10 -11 pieces of tab gum per vend. If my machines would do less, I would vend only 7 which to me equals about one gumball. Gumballs are hollow in the middle (so you don’t get as much gum as you think). Just remember to think that you’re only getting about 18-20 cents out of every quarter you sell minus any other expenses you have (plus paying for the cost of your machines).

Many people love this bulk vending product because of the various types of flavors you get for each quarter. It can be a great money making product if you keep trying it in different places.

The Honor Box and Honor Box Vending Advantages and Disadvantages

2011-06-17T23:36:00.001-05:00

Honor Box Vending

Honor box vending has been around for a number of years. For those of you who don't know what that is, it is a vending concept which uses (usually) cardboard boxes to hold candy to sell on the "honor" system. In other words, you have a "box" (the honor box) which you put the money into when you get a candy bar or other item. There is no coin mechanism to place money into and turn.

The main disadvantage of this system is of course those who don't pay for the product. This is what makes or breaks this vending concept. If you end up losing money or making no money because people help themselves without paying, this system will have to be passed over for another vending concept.

The other disadvantage to this system is that people can walk off with the whole honor box (money and candy both.) To make this system work, you must evaluate how much profit you make on a regular basis. You will also incur the cost of replacing the boxes after a period of time.

The big advantage to this system is that the honor boxes are much cheaper than standard bulk vending or full line vending machines. For that reason, you could afford to have a few of the boxes stolen. It's just something you have to evaluate for yourself as to whether this appeals to you. I would also think that some parts of the country or bad parts of certain cities would be terrible places for this concept of honor box vending. You don't have as much money at risk in equipment on locations but the temptations for theft are much higher too.

I have a few vending operators who do this next to my bulk vending machine routes. They are a very small percentage of the vendors I encounter. I hear mixed results about the service from the product being stale to complaints from the operators about people not paying. I think you could make this concept work with a lot of effort and some regular tracking of your results. You could also put the boxes in small types of businesses that are too small for a full-line snack machine. I have noticed more of the honor boxes in places where a number of men work like repair shops and the like.

As with any business endeavor, do your homework before placing your money at risk. Also if you choose this type of vending, be sure you charge enough for your product to cover your loses. I would advise to charge at least the same price you would pay to get candy out of a full-line vending machine. Then, if I ran into a problem with theft, I would up the price a dime or more to cover myself. If my box walked off completely, I would write the location off and go somewhere else (unless it was doing amazingly well and I could afford to take another chance.

\How often would you service these? I would think at least every 4-6 weeks with a few locations going longer. Be prepared though to have to throw away product which goes bad. Candy does have a shelf life you must contend with. Rotate products out which are not selling and replace with other items like bagged peanuts or snack cakes instead of just candy. You could also sell stick gum.

Hope this helps you. As you can tell, Im not much of a fan of this, but I do know it works okay for some people.

Good Luck!

Vending Jobs, Vending Route Job Questions and Answers

2011-06-12T21:41:00.003-05:00

Vending Jobs Image

With the economy is a bad place right now and not looking to improve greatly, many people are thinking about vending as a job replacement. Vending jobs can really fall into several categories. Let's look at the main two first:

Vending Company Owner. This would mean actually buying the vending machines yourself and taking on the risk of losing your investment. In essence, you are "buying yourself a job" including assuming the risk of losing your investment. Many people start like this, but this is not the only way to go.
The second way to think about vending jobs is to try to secure a job with an existing vending company. Most of these jobs will bein "full line" vending (Cola, snack, sandwich, and amusement machines). There are few jobs for "bulk vendors" which mainly includes gumball, candy, and toy machines. You might pick up a vending job part-time with one of these bulk vending operators (or possibly a contract laborer).

Vending route jobs are good if you like managing yourself. This includes to a large degree whether you own the machines or work for someone else. You have to manage your time, inventory, locations, etc. There is also a lot of lifting and "grunt work" in the full line area of vending. This often includes having to move large machines from time to time, however, the owner may elect to contract this part of it to another company or individual with special equipment.

Vending jobs are fairly abundant but don't pay all that much. That's why many people who own vending machines go into the business themselves as owner to increase their profit margin. There is still a lot of labor in this business whether you own the machines or are a common laborer for some company. It's not uncommon to have to have dozens to hundreds of full line machines to make a significant income. At some point an owner will have to increase the number of machines to more than they can manage themselves in order to make major money. Because of that, there are people looking to expand. On the other hand, there are owners looking to get out of the business and move on. Therefore, you need to consider whether you want to own your own business (with the risk) or simply work for someone else and leave them the headaches.

Vending route operator jobs can be either really rewarding or incredibly boring, and it usually doesn't take long for a person to find out which he is. It's not that it is that hard. It needs to be something a person likes to do.

In this blog post I've tried to cover both aspects of owning a vending route and working as an employee in a vending job. If you think you are interested, look in the classifieds section or on Craigslist for offered jobs or routes for sale and start asking many questions. It will help you decide if this area is for you.

Gumballs for Gumball Machine: Don't Overlook These 15 Important Fact about Vending Gumballs!

2011-06-12T14:04:00.002-05:00

Gumballs for Gumball Machine

For those of you with vending machines like me, gumballs for your gumball machine is a core part of your business. By that, I mean that anything that affects gumballs affects a key piece of your business and its income. Therefore (it sounds crazy!) you have to become gumball minded and do those things that maximize profits on EACH gumball you sell.

You might not think a fraction of a cent matters, but when you sell one million gumball with your gumball machine then a second million, you see that fractions of a cent amount to hundreds and thousands of dollars over the long term. Yes, even a fraction matters (1/10 of 1 cent).

The secret I've found that helps me in my overall business is watching these little areas where I can save money. Yes, I run a large number of machine and it may apply to me more than others, but in truth saving little amounts of money does apply to every operator no matter how large or small. Here are some other things I do when dealing with gumballs and gumball machines to save
money and maximize my profits (some I've mentioned before, but they are worth a second mention):

Shop around for the best price on gumballs. Be sure you include all costs such as shipping or your cost to pick up the inventory.
Sam's Club or Costco is not the only choice for gumballs but they are often the cheapest. If you can order a pallet (typically 85 cases) you may be able to beat Sams and gain more choices in flavors.
Gumballs DO have a shelf life. Dump your machines if you are getting complaints.
Dumping gumballs periodically out of machines can help increase your sales numbers. I know because Ive been doing this more often. The result? Happier customers and increased sales. I usually make back what I lost by throwing out product by the next collection (and usually more on top of that).
Gumballs stay fresher if your gumball machine is NOT IN DIRECT SUNLIGHT!!!! (They go bad 3x as fast).
You will NOT go to jail if you don't fill up your machine completely full of gumballs. Im amazed at the operators that jam it full. It looks nice, yes, but if it is not selling enough, they sit there and look pretty as you lose sales!!!
Ants like gumballs as much as candy, so be sure you watch for them when you service. It seems spring and summer they like to swarm.
When looking for gumballs for your gumball machine, look at other competitors. Don't duplicate what they are doing. Go in with a different flavor of gumballs, with chickles, or with candy of some kind.
Higher volume traffic spots are great to try gourmet single flavor gumballs (like green apple or lime flavored gumballs).
There is no law about vending 1" gumballs only. You can usually save money by vending smaller gumballs but you may have to pay to have them shipped to you (which may erase any gains to you). Be sure you check that your machine will sell smaller gumballs first. Some will not like my Beavers unless you buy another gumball wheel.
Gumballs still normally have the best profit margin of bulk vending products at around a 2 cents cost per gumball. Remember though, you have a host of other expenses to factor in which will add much more to that 2 cents. What expenses? How about gas, spoiled product, vehicle repairs / tires, taxes, time costs, machine repairs, loan payments, etc.
Don't get married to gumball vending only. Truth is that I have ditched the gumballs in some of my vending machines for toys, bouncy balls, and candy (I try not to do candy unless I have to though).
Some kids will much prefer a toy to a gumball out of your machine. It is your job to split test products and see which will work best.
Gumballs should play an important part in your bulk vending strategy. Your job though is to MAXIMIZE the place where they work good and adjust to different products or different types of gumballs in the place where your sales are poor.
Never be afraid to completely pull a machine if you can't get the sales you want. There are just some places with the right mix of employees and customers which will never give you good sales. If candy doesn't work either, pull it and smile as you walk out the door knowing you're going to find a better location which brings you more cash flow.

I hope these ideas on gumballs for your gumball machine help you determine what changes you need to make. Be sure and visit my other site at VendingArticles.Net for lots more free information. Watch for the release of my new vending ebook where I share all my secrets in the near future.

Thanks!

A&A Global: The Toy Company for Toy Capsule Vending

2010-10-14T16:10:00.002-05:00

A&A Global is the toy company for toy capsule vending in the areas of price, selection, and safety testing of toys. I have used them as my lead supplier of toy capsules for over four years.
While no company is perfect (i have had a few small issues with them), they are consistently performing the best for me in providing my bulk capsule toy needs. What does A&A Global do? They are bulk toy importers bringing in China toys to be capsulated in the U.S. Being an importer of China Toys carries with it a responsibility to provide testing and
documentation that the toys are safe. I have found they can provide good documentation for bulk vending operators which is critically important when you sell tens of thousands of dollars worth of toys in a year.
Another big reason I consider A&A Global to be the toy company for bulk toy capsules is their selection. I have other companies I used occaisonally as well if I finda few special products on sale. But consistently I come back to A&A Global to find the largest selection.
The two negatives I have with the company:

Good selling bulk toys are not always in stock. You may choose 2 or 3 toy capsule items and find they won’t have them for a couple of weeks to a couple of months. This has been the biggest frustration.
Shipping. I feel their shipping price is higher than other companies. It’s better to buy on a pallet if you do that much volume.

Here are a few of my favorite items A&A Global has sold (and may still be selling):

Super bouncy balls (both 1” and 2”)
Bling Teeth
Sticky Hands (1” and 2” toy capsules)
Sticky Thingys (1” and 2” toy capsules)
Clear and cool rings
Fuzzy Face Mustaches (1” and 2” capsules)
Mini-Mals figurines
Spongebob Puffy stickers
Adopt a puppy figurines
Sticky eyeballs (1” and 2”)
Yo-Yo balls (2” toy capsules)
California Gold (1” capsules)
Mini-Crosses (1” capsules)
Glow in the dark Aliens (1” toy capsules")
Classic tattoos (1” toy capsules)

These are great products that I mix and match to some degree in my toy racks. I have some single toy machine heads in a business where kids frequent. Even these single toy machines do well with the right product.
I hope you see why I consider A&A Global the toy company for toy capsule vending. They provide the selection I need. No, they did not pay me for this review. Hope this helps you!

Vending Times Vending Magazine for Bulk Vending Info

2010-10-14T11:04:00.002-05:00

"Vending Times” vending magazine is a must for Bulk vending information. It is an industry standard. Besides bulk vending, the magazine also covers full line vending. Full line vending is usually defined as selling snacks and drinks through vending machines. Bulk vending is usually refers to selling gumballs, candy and toys from smaller vending machines or racks.
Whichever form of Vending you do or are interested in, Vending Times does a good job covering vital information. Some of the areas include:

Vending Services
Vending Solutions
Vending Equipment
Used Vending information from suppliers
Vending news (general and specific)
Vending websites (advertisers mainly)
Water Vending
Ice vending
Vending machine market in general
Vending machine prices (advertisers and new product introductions)

At times, they will also carry articles having to do with a vending license, vending insurance, and other legal issues.
In many ways, it brings together information to give you a vending association to draw from. I highly recommend the publication. It has helped me most in getting a bird’s eye view of the vending industry and how it affects me on a smaller level.
Man, they should pay me for this review!

Coin Pushers, Quarter Pushers: Are they Profitable and Legal?

2010-10-13T15:51:00.002-05:00

Coin pushers, also known as Quarter pushers, seem to carry a real fascination with people. Lately, I have run into several people who have been putting them into places where I do bulk vending. From reports from store owners, they seem to do really well. Store owners tell me of commissions that are quite good.

The biggest issue with Coin Pushers is that they are not legal in many states. They are considered gambling devices. Some owners get around it by giving free candy or other prize redemptions for the quarter play. Included with the free candy or prize redemption is the opportunity to win the money.
I would strongly advise against owning quarter pushers / coin pushers unless you strictly understand the law in the state in which you operate. Contact the attorney general’s office and the state tax division to find out the legalities of operating a Coin Pusher in a particular state.
Big money in Coin Pushers? Yes, probably, but also big liability. Do your homework!

Japanese Vending Machines

2010-10-13T15:17:00.002-05:00

I hate to admit it, but Japanese vending machines beats American machines hands down in one area: CREATIVITY! From other fellow vendors, I have heard that American made machines perform much better than Japanese vending machines in actual use on the field.
The better performance of American vending machines really come to the forefront in:

Coin Mechanism performance
Coin Mechanism durability (how long they last)
Overall vending performance (jammed product or failures to vend)
Exterior durability (paint)

My comment about Japanese vending machines being better is that they seem to have so much more variety and really cool designs available. How do you check out these machines? Look on Youtube for videos on “Japanese Vending Machines” and post which ones you like.

Sprinter Van / Sprinter Diesel – My Perfect Vending Vehicle

2010-10-04T11:37:00.002-05:00

If I could have any vehicle I wanted for the Vending business, it would be the Dodge Sprinter Diesel Van. A Sprinter diesel is great on fuel mileage, especially compared to other vehicles in its class. You may have noticed several freight companies and delivery companies moving to this type of vehicle in the last few years. I believe a big reason for this is the fuel mileage of the Sprinter diesel.

The Sprinter chassis is excellent for hauling heaver loads than you could in a normal van, especially a mini van which I have seen many bulk vendors use. The Sprinter chassis is heavy duty enough to haul many more machines and products than you could with a normal van. No, I don’t have a Sprinter, but the research I have done on the Sprinter van makes it my dream vending vehicle.
You may see the vehicle listed as the “Sprinter 2500”, “Sprinter Van”, “Sprinter Westfalia” (an R.V. Conversion), “Mercedes Benz Sprinter”, “Benz Sprinter”, or a “Dodge Sprinter RV”.
SPRINTER FORUM: For those of you really interested in a Sprinter diesel, there are several forums on the web you can find by searching on google and getting user feedback.
Used Dodge Sprinter: One word of advice I learned many years ago about buying vehicles: Used vehicles can save you lots of money. When and if I buy this vehicle, my first place to go will be online to find a used dodge sprinter diesel instead of purchasing a new vehicle.
Sprinter Leasing: Leasing a Dodge Sprinter may be an option for you as many business people consider this as a tax strategy. Before leasing a dodge sprinter or any other vehicle, always talk to your tax accountant for the implications.
So for me, the Dodge Sprinter Diesel is the perfect vending vehicle for the fuel mileage, Sprinter chassis, extra room and reliability. Do your own research as the right vehicle for your size business can save you thousands over the course of a few years.

Vending International – It’s not Just a “USA Thing”

2010-10-04T11:02:00.002-05:00

Vending is an international business, which may come as a surprise to some. My first experience with discovering international vending was when I saw some of the strange and cool bulk vending machines coming out of Japan. Japan is not the only international vending source, but certainly a country that has contributed to the many types of vending machines.
I don’t know much about the full service side of international
vending, but I do know several main companies offer coin mechanisms for foreign currency. Beaver Vending, of which I own 2500 or so of their machines, offers many different types of coin mechanisms to allow international bulk vendors the opportunity to participate in the business. It is simply a matter of ordering a machine with your correct type of coin or ordering a coin mechanism of the desired currency as a replacement.
International vending is alive and well. It would be worth your time to search You Tube or Google for the different types of cool vending machines that have been made over the years. You’ll find vending is not just “a USA thing.”

1 Inch Gumballs - The Most Popular for Bulk Vending Gumball Routes

2010-05-15T18:21:00.001-05:00

1 inch gumballs are the industry standard in bulk vending. Beginning vendors might be confused by the different sizes, but 1 inch gumballs are the most popular.

Be aware though, you can buy smaller gumballs (and larger too.) Most vendors buy smaller gumballs to save a little money on their cost per vends. 1 inch gumballs have a good all around profit margin and are fine for most gumball routes.

Some vendors who operate large toy racks sell 2" gum. That's large, and not the norm for most bulk vendors. Stick with 1 inch gumballs as your mainstay and experiment with different flavors rather than sizes to begin with. It's really important to not get to the place where you are running many different sizes and flavors of gumballs on your gumball route. You'll stay more effective if you stick with a few that work for you.

Just to be clear in closing, the ASSORTED 1 inch gumballs are the standard. That's the size and flavor for your best selling combination. Good luck!

Toy Claw Machines, Crane Machines, Toy Plush Information

2010-05-15T12:44:00.002-05:00

Toy claw machines (also known as “cranes” or “crane machines”) are extremely popular with kids and many adults. I’m sure you’ve seen these machines in grocery stores, restaurants, and even many Wal-Mart stores.
Toy claw machines are often classified with the bulk vending machine category as they really are a super-sized bulk vending machine selling toy plush articles. There are some great advantages and disadvantages to this area. Let me say I do NOT
do this type of vending by choice even though I had the opportunity to purchase toy claw machines and passed on the opportunity. Here’s why:

Toy Claw Machine List of Negatives:

It is a very competitive area of Vending
Toy Plush has gone up in prices quite a bit, therefore your profit margin is lower.
You can have frequent service calls to fix machines, and I am not very mechanically inclined. I don’t like dealing with changing circuit boards, bill validators, and wires to the claws.
They take up a lot of room in places, therefore crane machines have a limited number of places you can put them.
They are not as easy to locate as a normal bulk vending machine.
They are harder to haul.
The commissions are normally at least 50%.
They are hard to sell if you don’t like this area.
Vendors tell me you either love it or hate it – no middle ground. People who love gumball vending don’t necessarily like toy claw machine vending.
You typically have to visit locations 1-3 times per month to maximize the location. I don’t like being tied to having to go this often to a location.

In fairness there are some positives to this type of vending such as making a lot of money in one place if you find a good account, but for me, this is not enough to purchase toy claw machines. I’m happy with my gumball, candy, and toy bulk vending machines. Are toy claw machines for you? You’ll have to evaluate your own desires and abilities. Just consider carefully the ideas above before you buy a crane machine.

Vending Tips – For Bulk Candy and Gumball Vending in the Summer

2010-05-15T12:26:00.002-05:00

I thought some vending tips might be in order related to the summer season. Warm temperatures bring a special set of circumstances to vending operators. These will help you be effective and save money in the process.

Vending Tips on Candy Vending In Summer

Prepare for high temperatures by keeping your bulk candies temperature controlled. This is especially a problem in the south where the temperatures are warmer year around. You can put M&M candies and Reese’s pieces in ice chests if your vehicle doesn’t stay cool enough in summer.

You can test these candies to see if they are getting too hot by “pinching” them to see how hard they are. They get very soft before beginning to melt completely.

Move candy machines out of the sunlight in businesses to keep candy from ruining and getting too hot.

Skittles will clump together in the bottom of machines, so if you’re only getting 2 or 3 to vend at a time, check to see if they have melted together at the bottom of your machine by the candy dispenser.

Vending Tips on the Problem of ANTS

Ants are another problem beginning in the spring when they can “swarm” and enter buildings looking for your gum and candy machines. They can especially be a problem in older buildings. If I have too many problems in a particular business I will remove the machine unless it’s a really great account. To help guard against ants, you can put a thin ring of Vaseline (petroleum jelly) around the top part of your vending machine stand. Put the Vaseline just under where the stand meets the bottom of the machine. That way, it traps ants as they crawl up the candy or gum in the machine. This is one of the greatest vending tips I can share with you!

I hope these vending tips for the summer will be a help to you.

What About Vending Jelly Beans?

2010-05-08T11:21:00.002-05:00

Vending Jelly Beans may sound like a good idea, but the problem I have found with it is buying the product at a low enough price. Sam’s Club is the place I have found that consistently sells bulk candy the cheapest. They sell Jelly Beans which I have used in a couple of machines.
The Jelly Beans sold fair, not great, but the cost to vend them was very high – about 6 cents a vend at the smallest setting I could use in my machines. If you can find a blowout location you may be able to make enough to justify using them.

My caution is to check the price per vend and make sure you are making enough profit to use them. Also make sure the location doesn’t get too hot.
Mike and Ike’s candy is a choice many bulk vendors use. They have their own set of problems but are cheaper to vend than Jelly Beans. Check out my article here on avoiding problems vending with Mike and Ike’s and Hot Tamales.
Here are some other articles on this blog about candy vending you may be interested in:
What is the Best candy for Bulk Vending?
Increase Your Bulk Vending Profits, Part 1
Good Luck!

Peanut M & M’s: Vending Tips for Best Results

2010-05-05T23:54:00.002-05:00

Peanut M & M’s are very popular with people who use vending machines. It can make money for you as a bulk vendor, but it is one of the top 3 hardest items to vend for several reasons.
First of all, the M & M Peanuts have a short shelf life. In other words, they go bad quickly if your sales are not high enough. Therefore, to effectively sell this type of candy you must use it in a place where the sales are high enough that your product can cycle through.

Occasionally there will be a bad batch of Peanut M & M’s which will go bad quickly (even more so than usual). You may experience cracking in just a short amount of time.
Temperature extremes cause Peanut M & M’s to go bad quickly. The expansion of the peanut and candy inside cause the cracking, and once the outer shell is cracked, the chocolate’s moisture can leak out leaving a powdered mess that you have to throw out.
Because the candy is expensive to vend in the first place, Peanut M & M’s have the potential to lose money in a hurry for the bulk vendor. Therefore you must evaluate each place you use them and protect your initial investment in the machine. To fill my Beaver Candy Machine takes about $25. It takes 2 1/2 bags at about $10 per bag from Sam’s Club including tax.
Peanut M & M’s are a great choice to test out in a location, especially one with lots of guys or ladies who need a “chocolate fix.” Just be sure the sales justify the cost of the goods you are selling. Peanut M & M’s can then be a good money-maker for your bulk candy business.

Vending Machine Placement: Locating Your New Vending Machine

2010-04-22T10:10:00.002-05:00

Vending Machine Placement is one of the great skills of a good bulk vending company (and full-line vending for that matter). If you are new, you may feel overwhelmed by the prospect of the placement of your vending machines.
I have found many places and types of businesses can be good provided:
1) The business has at least minimal traffic
2) Several Employees
3) Seems a reasonably secure place for the machine

Understand my philosophy is not to hit a home run with every machine
but to have multiple "bread and butter" accounts in mom and pop stores
as well as higher traffic flow places. If I had only a few machines I
would be more particular with the locations to be able to multiply
profits to buy more machines.
Some of the places specifically might be lawn mower repair shops,
tattoo shops, local newspaper office, utility offices, court houses
etc. It seems lots of vendors frequent restaurants, parts and hardware
stores, and locations with lots of kids. I find I have adults just as
crazy about gumballs as the kids are. You just have to find them!
You also have to be willing to remove low-producing machines in a short amount of time if they don’t produces good sales for you. This may be a couple of service cycles or slightly longer. One important option would be to change product before you pull it. A product change can make a real difference!!!
Vending machine placement is one of the most important skills you will develop and will yield good results as you get a good feel for the accounts that will produce in your area.

Depreciating Assets and Your Bulk Vending Machine Company

2010-04-19T22:17:00.001-05:00

What does depreciating assets have to do with your bulk vending machines? Plenty, but it’s not all bad! Depreciating assets can really help you at tax time, as my accountant has often discussed with me.

I am NOT an accountant and am not giving financial advice in this article, but since I have written in places about your vending machines being income-producing assets, I wanted to mention the depreciating assets side of it too.

Its not that your bulk vending machines are depreciating necessarily to you, but as with any equipment, the equipment wears out (depreciates) with time. Thus, the term “depreciating asset”. If you think about it, you are replacing globes, mechanisms, chute doors, or other parts as they get broken on your vending route. Over time, it stands to reason that effectively a bulk vending machine can be completely written off because its effective age has reached the point of no more use in the business or to the individual. This may or may not be the actual case in use in the business, but for tax purposes, the asset has reached its end and you have a systematic yearly deduction for the expense.

This is the benefit of a depreciating asset for you the business owner. Contact your accountant and have them explain the tax benefit depreciating assets can be to you. Even though I have talked about depreciating assets in the context of bulk vending, it applies in many other businesses. I encourage you to really understand this area as a business owner. Depreciating assets carry several important rules to be utilized properly, so please seek professional help to fully utilities their use.

Toy Capsules, Tattoo, and Bouncy Ball Bulk Vending: How to Use These Bulk Vending Products to Diversify Your Vending Business

2010-04-19T21:27:00.001-05:00

Lately I have been changing my bulk vending strategy a little to sell more toy capsules, tattoos, and bouncy balls. Even though my profit margin is lower, better sales overall have been higher.

Don't get me wrong, I still sell a lot of candy and gum, but I am slowly doing more and more with toy capsules, tattoo and sticker vending and bouncy rubber balls to diversify a little more away from candy and gum. Diversifying keeps me from relying too much on one product area for my source of income. Sometimes selling the new products gives me competitive advantage against other vendors. Some vendors care nothing about these toy products. I didn’t either for a long time, but after a few changes here and there, I am tweaking my product offerings.

The other area I am diversifying in is with rack locations vs. single/double head locations. Some of the new rack locations I have been getting have been extremely good. The advantage of a good rack location is that you typically have a longer account lifespan than with a single or double headed charity machine.

Just a few things for you to think about as you build your bulk vending business. Hope this helps you!!!

Bulk Candy Vending: What is the Best Candy to Vend?

2010-02-28T22:38:00.002-06:00

Bulk candy vending can be one of the biggest money losing areas in bulk vending. And, it can be profitable as well. What is the best candy to vend? There is not one product that will work the best in EVERY location. The best candy is the one which you find will sell the best and still has a good profit margin for you.

What are the factors to be successful at bulk candy vending?

The cost of your product. You must find the cheapest place to regularly buy product. For me, that place is Sam’s Club. You may also try Costco or BJ’s Wholesale.
The amount of candy you dispense per vend. This is absolutely critical and you must control this to make much money at all in bulk candy vending. I have written a helpful article on how to figure your cost per vend at my vendingarticles.net site. I highly recommend you read this article.
Finding bulk candy which customers like. It’s amazing how a product change can take your collection from $3 to $30 in one collection! If customers aren’t buying, it’s time to change product and keep trying until you get acceptable sales.
Bulk candy labels. Having classy looking bulk candy labels invite the customers to check out your product.
Fresh product. This is important to keep sales high. If product is going stale in your bins or bulk candy heads, it’s probably time to change products or at least put in fresh product and throw away the old.

These tips will help you get started in the bulk candy vending business. Best of success to you!
Mark Evants
© Christmark Enterprises, LLC

Vending Business Cards-Do I need Them?

2010-02-09T20:26:00.006-06:00

Vending business cards are extremely helpful to the vending machine business. Besides being a quick way to give your basic contact information, you have an opportunity to make a classy statement about the vending service you provide.

Vending Business cards can help you in 5 areas of your business:

To provide your basic contact information
To clearly and quickly communicate what vending services you provide
To market your slogan and quality service guarantees
To facilitate quick communication to you or your route personnel in the event of a needed service call
For marketing / locating your vending machines

For me, the biggest use of Vending machine business cards is the marketing aspect. I locate most of my own bulk vending machines. When you are locating your vending machines, you will often find out that decision-makers are no where to be found! Therefore, you need a classy vending business card to grab the attention of the decision-maker to give you the best chance of getting a return call with permission to place your machine in the business.

Vending business cards are a small price to pay for the benefits they provide your bulk vending business.

Vendstar 3000 – Quick Fixes to Common Problems and How to Quickly Service Venstars on Your Route

2010-02-03T14:16:00.003-06:00

There are some quick fixes to several common problems on Vendstar 3000 Machines. Being able to QUICKLY fix a damaged Vendstar while servicing your vending machine route saves your valuable time and enables you to collect more money each day. Here are some of my favorite ways to service to fix Vendstar problems:

Carry an extra complete Vendstar with you. Many of you will have the space to do this in your service vehicle. This can be one of the quickest fixes especially if major parts of your Vendstar machine on location is broken. Just fill and replace, and you’re on your way!
Carry extra chute doors and mini-springs with you. Broken chute doors are the number one Vendstar complaint and problem you will run into frequently. Several times I have found 2 of the 3 doors broken on the same machine.
Carry a complete coin mechanism module with you containing a functional chute door. The coin mechanism can be removed as a rectangular module by remove 4 screws at each corner of the back of the rectangular coin mechanism from inside the area where the money is. This is the quickest way I know to replace the chute covers.
Replace low producing candy selections quickly by bringing extra cannisters with you already full of another kind of candy. For instance, if you want to try Reese’s pieces in some of your machines, take 3 cannisters full of Reese’s with you with all the labels already in the cannistes. Set them securely in a box or somewhere where they will not spill and the tops are covered while transporting. Then, when your machine is open for money collection change out your cannisters. This can save at least 5 minutes or more.
Check your coin mechanisms to make sure products will not vend for a penny, nickel or dime. I have run into this problem before and customers have emptied the cannister with a bunch of nickels. Every Venstar is not like this, but some models have had mechanisms which have this problem.
Pull your Vendstars where there is a problem with Vandalism or rough treatment of your machines. They will not hold up long term with rough treatment.

I’m not a big fan of Vendstars because of the problems I have had with them. I have almost 3000 machines (heads) and I have more problems by far with them than I do my Northwesterns or Beaver machines. Hope this guidelines help.
HAVE QUESTIONS ON VENDSTAR PROBLEMS OR COMPLAINTS? Leave a comment to this post and I will try to help you if I can. These machines can be very profitable in the right location under the right circumstances, so hang in there if you’re having Venstar problems! They can usually be fixed.

Bouncy Balls – How to Use Rubber Balls as A Money Making Product

2010-01-19T00:07:00.005-06:00

Bouncy balls, also known as “hi-bounce” balls or rubber balls, are a great money-maker for your bulk vending machine. Most quality vending machines will easily dispense the bouncy balls. One exception to that rule is Vendstar 3000 vending machines.
There are seven advantages to selling bouncy balls in your vending machines:

They are extremely popular with kids.
They are inexpensive to purchase in bulk (usually 4-6 cents each).
They have a high profit margin.
They have an infinite shelf life (will not spoil or go stale like gum and candy).
They are easy to carry (not bulky like 2” capsules or stuffed animal for cranes).
There are several different types of bouncy balls to choose from.
They are downright fun!

How Bouncy Balls are sold: Bouncy balls are mostly sold in the 27 millimeter variety (1” rubber balls). Other sizes are available and popular with bulk vendors as well.
How to buy bouncy balls: You will save money if you buy a box of the 1” balls instead of a bag. A box usually consists of 8 bags of 1” bouncy balls (2,000 rubber balls). It was great this week when I order a pallet of bouncy balls (80,000 balls!).
Where to find rubber bouncy balls:

A & A Global – http://www.aaglobalind.com/
TJ King / Five Star – http://www.tjking.com/
Ebay – http://www.ebay.com/ (Usually more expensive)

Put the bouncy ball to work for you in your vending business. It’s a great all-around toy vending product.
Author: Mark Evants
© Christmark Enterprises, LLC

Vending Machine Insurance, Part 2

2010-01-18T23:32:00.003-06:00

Vending Machine owners may want to consider other forms of insurance besides vending liability insurance mentioned in my last blog post. Here are more forms of insurance that you as a vending machine owner might consider:

Car Insurance. This is an important priority especially if you use your own vehicle to service your vending route.
Disability Insurance. This insurance covers you in case you are hurt or disabled for some reason and cannot work for a period of time.
Life insurance. There are different kinds of life insurance your insurance agent can help you with: – term life, whole life, universal life, variable life.
Health Insurance – There are many forms of health insurance which you can research online or have an insurance professional help you with.
Home owners insurance – This usually is required by the lender but should be checked to include coverage for any business assets you might have in the home such as vending machines, product, and parts. Check with your agent to be sure you are covered!
Renters Insurance – same applies to renters insurance as to home owners insurance – check to make sure your business assets are covered in some way.

Insurance is an important part of our life and helps us in times of unexpected loss. Just this month a good friend of mine from years gone by lost practically his whole home to a fire right after Christmas. Thankfully, he had just upgraded his insurance to protect some very high end tools and other assets in his home and had detailed many items in case there was ever a need. It pays to be protected, and this insurance area should be a high priority for business owners even beyond normal business liability insurance.
Mark Evants
© Christmark Enterprises, LLC.
DISCLAIMER: Mark Evants is not an insurance or legal professional. You should check with Professionals in this area to make sure you are fully protected.

Vending Machine Insurance – a MUST For Your Vending Business

2010-01-18T22:46:00.004-06:00

Vending machine Insurance is extremely important for your vending business regardless of what type of vending you want to operate. Why? It only take one accident to put you into a million dollar lawsuit.

Vending insurance is not always a priority to people who have a small vending business. The size of the business is not the main concern – it’s the liability potential that exists for you the business owner with your name on the asset.

No, I’m not trying to scare you, but if you are going to do business, make the investment to protect your assets. Your vending assets (vending machines) are not the only assets at risk if someone is injured from one of your machines. People can sue you to recover losses and go after any asset you own (cars, house, bank accounts, etc). That’s why its wise to start doing business right in the first place – with vending machine liability insurance.

I am not a lawyer or insurance professional and I encourage you to see professional advice when you set up your vending machine business. It’s worth starting out on the right foot!

Companies who offer Vending Machine Insurance:

Here are a few companies I have heard of which offer vending machine insurance. These companies may or may not offer vending liability insurance in your state, so check with several if you have trouble finding a company:

Travelers
State Farm
The Hartford
Allstate
Liberty Insurance
US Liability
Centurion